Updates on EU CSRD & CO₂ Compliance: What Energy-Intensive Industries Must Do Now
The Corporate Sustainability Reporting Directive (CSRD) just got a major refresh in 2025, and for energy-intensive industries, it’s a big deal. Companies in steel, chemicals, cement, and energy now face stricter reporting rules, mandatory climate transition plans, and full emissions disclosure across Scopes 1, 2, and 3.
At Sustaira, we’ve helped leading companies in these sectors tackle complex reporting challenges. From our experience, the 2025 updates mean businesses need better data systems, clearer KPIs, and actionable plans, not just more spreadsheets.
What Changed in CSRD in 2025?
1. Bigger Scope, More Companies
CSRD now applies if a company meets two of these three criteria:
1,000+ employees
€450M+ in turnover
€250M+ in total assets
This expansion brings more companies under the reporting rules.
Even firms with smaller EU operations may now need to comply, making sustainability reporting a strategic priority rather than a back-office exercise.
This shift reflects the EU’s growing focus on full transparency. Companies are expected to provide a complete picture of their emissions, energy consumption, and sustainability practices, not just at headquarters but across their entire operational footprint.
2. Full Carbon Accounting, All the Way
CSRD requires reporting of Scope 1, 2, and 3 emissions. Scope 3 is the toughest. It’s everything upstream and downstream, from suppliers to customers.
Companies must:
Track emissions across the entire supply chain
Align with EU Taxonomy and ESRS standards
Ensure data is reliable and auditable
After working with companies in energy-intensive sectors, we know that Scope 3 is where most businesses get stuck. That’s why we developed the Sustaira Carbon Accounting Solution.
It allows organizations to connect data sources, whether internal systems or third-party providers, organize emissions by location or business unit, and also calculate emissions using our pre-built calculators.
And if your existing tools work well for Scopes 1 and 2 but fall short on Scope 3, we can create a custom solution to fill that gap without disrupting your current setup.
If Scope 3 reporting is keeping you up at night, our experts are ready to help, just book a demo.
3. Climate Transition Plans Are Mandatory
CSRD 2025 now requires companies to show how they will reduce emissions, not just report them. Plans must include:
Long-term reduction goals
Interim targets
Adjustments to the business model that support decarbonization
At Sustaira, we are on a mission to empower sustainability leaders to turn complexity into clarity. We believe sustainability is not a regulatory project but a core part of every organization’s operations: simple, transparent, and embedded in everyday decisions. For this reason we go beyond reporting, empowering organizations to decarbonize operations, reduce risk, and achieve measurable sustainability impact with flexible, scalable solutions.
4. More Transparency, More Detail
Regulators are also raising the bar on data quality and disclosure detail. Companies are expected to demonstrate double materiality, meaning they must report both how sustainability issues impact their business and how their operations affect the environment and society.
Additionally, the new framework introduces Identified Relevant Opportunities (IROs), a requirement to highlight where sustainability initiatives can create measurable business value. And because reporting must now be audit-ready, companies need solid, traceable data to back up every claim. Promises are no longer enough; proof is what matters.
Why Energy-Intensive Industries Should Act Now
Energy-intensive industries are under particular scrutiny as the EU pushes for rapid decarbonization without compromising competitiveness. This is not just about compliance; it’s about future-proofing operations. Companies must improve energy efficiency, invest in clean technologies, and prepare for mechanisms like the Carbon Border Adjustment Mechanism (CBAM), which adds another layer of reporting complexity for imported emissions.
From our work with leading companies in these sectors, we know that preparation pays off. Those who act early gain more control over their data, simplify reporting processes, and unlock insights that drive better operational and financial decisions.
